One of the most important aspects of purchasing a commercial real estate property is financing. Since the recent recession, banks have been less willing to give out loans for commercial real estate investments in Texas or in any other state. However, many financial experts have noted that banks are now beginning to start lending again for commercial real estate.
A recent survey by the Federal Reserve found that banks have been easing up on their standards for obtaining most types of loans for commercial real estate. Also, the latest FDIC report revealed that commercial real estate lending from banks has reached levels that have not been seen since 2007. This is a significant development because banks had avoided giving out loans for commercial real estate for several years due to losses sustained prior to the Great Recession.
Texas businesses that decide to collaborate may decide to enter a partnership. This can be a formal partnership with specific legal documentation or it may be a verbal agreement. In either case, businesses may not know the exact legal measures involved in order to make these partnerships beneficial to all parties. Potential partnership disputes can be avoided by following certain guidelines.
Using written, legal documentation may be the best way to ensure that a partnership is successful. They are simple to start and often do not require a great deal of expense. Though there are differences in how they are managed, dependent on the the type of companies involved and the specified type of partnership, they don't always require formal procedures for smaller tasks. Companies can rely on voting when larger decisions have to be made. The tax benefits can be significant for smaller businesses, and these partnerships sometimes aren't required to pay the same minimum taxes that LLCs and corporations must pay.
""On the same day the Texas Department of Transportation was hosting a public meeting on the future of the Highway 59 corridor, the freeway was brought to a halt beneath the North Loop for several hours.Late Wednesday morning, an 18-wheeler said to be carrying filter equipment destined for an oil production operation careened off the elevated ramp that routes traffic from 59 north to the 610 Loop."Read more here:
When one company acquires another, there are many factors that have to be managed properly. One of the biggest is in relation to the compensation of employees. Some companies, when they acquire another, will often provide the same level of compensation as before, though there are many times and many reasons why this may not always be possible. Depending on the particular circumstances, this could be considered a breach of contract. Investor Warren Buffett has been accused of this very thing after a recent federal lawsuit was filed here in Texas.
A brick-making company, Acme Building Brands, was acquired by Berkshire Hathaway Inc. back in 2000. The notoriously philanthropic Buffett is the president and CEO of Berkshire. The chief financial officer at Acme has filed a suit alleging that Berkshire underfunded employee retirement funds. She claims that Berkshire made significant changes to Acme's 401(k) plan and stop the growth of benefits -- allegedly, Berkshire cut the employer matching contributions in half.
Many people in Texas are considering forming their own business after seeing the successes of others, even in these trying economic times. Though they may have some knowledge of marketing and creating their product, many do not know about laws relating to business formation. It is important that new businesses are created under the proper legal guidelines so owners can prosper and grow.
Several business licenses are typically required for all new companies. They can be obtained at state and local government facilities and can include fire permits, sign permits and a “doing business as” registration. Health department licensing and alcohol permits may also be necessary, if applicable. Different types of businesses can be subject to different regulations, and a small business owner can consult the local chamber of commerce or other related entities for help. Tax status and whether the business will be a corporation, partnership or sole proprietorship will have to be determined as well.
When construction is set to begin in a specific area, many different businesses are involved. One of the key players is the developer who oversees the evolution of the property, whether it is an empty piece of land where new construction occurs or a change in the existing construction. The developer may simply run the project or might also serve as the construction company, actually constructing the new buildings. Either way, a Texas developer has specific responsibilities as outlined by construction law.
Under any circumstance, the developer works toward financial gain by making land or property profitable. They own the developed property and can choose to sell it in order to make the desired profit. Many of them create their own construction company in order to more closely oversee the development process and to be certain the work being done is of excellent quality. Several of them use subcontractors to do the required work.
When businesses decide to work together toward a common goal, they often do so to one another's mutual profit. If one company does not maintain its side of the partnership, the cost to the other business can be ruinous. Even the time spent resolving any problems is a valuable commodity for companies who may already be hurting financially. One consulting firm here in Texas has filed a lawsuit over the business disputes it has with three other companies concerning an out-of-state casino.
BOS Consulting LLC partnered with three investment groups to redevelop a casino-hotel. BOS claimed it gave the hotel money in order to operate and that BOS was to receive a monthly sum for its part in the development project of both the casino and hotel. Hurricane Isaac, which hit in 2012, badly damaged the property enough that it was forced to close.
Many Texas citizens know all too well the negative consequences that have resulted from the recent economic downturn. Families are experiencing record debt loads, loan interest rates are rising and wages are stagnant. One factor that many may not have considered is that the number of businesses being created in the country has seen a sharp decline. This can have far-reaching effects for many who would benefit from an increase in business formation.
A recent study showed that the rate of businesses being formed began to decline in 2007, which was around the time that the recession began as well. The researchers found that this decrease affected the amount of jobs that were created -- they think that, from that time through 2011, Americans missed out on almost two million jobs that could have been created if the rate of new businesses had remained the same. They weren’t certain whether this trend would continue, though they say the next few years will be crucial.
When developers seek to create new construction in an area, they likely see it as a win-win situation -- they will make a considerable amount of profit and the people who live in the area will benefit from the new development. However, residents do not always agree and may even file suit against a developer in the hopes of halting a construction project. Construction disputes can be a source of considerable cost to the developers and any investors. Recently, a lawsuit was filed here in Texas regarding plans to construct a large office tower, and this is the second suit this particular project has faced.
The property is described as a “boutique” office tower of 17 stories. The developer has created many buildings in the area and says this is only one of many of planned projects. This second suit has been filed by a local married couple who say that the office tower will decrease their property value. They also allege that the tower will drive up traffic, minimize available sunlight and inhibit their privacy.
When businesses enter into a partnership together, it is usually to their mutual benefit. Under normal circumstances, they create contracts to outline precisely what each entity will be responsible for, protecting one another’s interests. If one business violates the contract, the other may spend an excessive amount of time and money repairing the damage done by partnership disputes. Sometimes, businesses enter into an unofficial agreement with one another, and in the past, these were not normally legally binding. A recent case here in Texas has challenged that idea after a jury awarded damages to a business that had no official partnership with the other entity.
Energy Transfer Partners claimed that it generated an agreement with Enterprise Products Partners for both companies to work together to create an interstate pipeline. ETP claims that EPP backed out of the deal and opted to work with a competitor on a venture that would be more profitable. EPP countered that the business partnership was never official or declared in any legal capacity.